Veeco Instruments Inc (VECO)
Return on equity (ROE)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -30,368 | 76,911 | 67,378 | 162,353 | 166,942 | 46,229 | 40,181 | 36,874 | 26,038 | 17,733 | 9,320 | -5,330 | -8,391 | -41,160 | -53,507 | -60,770 | -78,733 | -190,536 | -187,722 | -409,791 |
| Total stockholders’ equity | US$ in thousands | 672,442 | 644,480 | 612,600 | 585,559 | 577,824 | 441,115 | 420,737 | 403,570 | 437,628 | 435,313 | 423,735 | 412,461 | 408,374 | 398,093 | 395,331 | 377,064 | 374,512 | 402,470 | 411,026 | 421,798 |
| ROE | -4.52% | 11.93% | 11.00% | 27.73% | 28.89% | 10.48% | 9.55% | 9.14% | 5.95% | 4.07% | 2.20% | -1.29% | -2.05% | -10.34% | -13.53% | -16.12% | -21.02% | -47.34% | -45.67% | -97.15% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-30,368K ÷ $672,442K
= -4.52%
Veeco Instruments Inc's return on equity (ROE) has displayed fluctuations over the past eight quarters. In Q1 2023, the company achieved a relatively high ROE of 27.73%, indicating strong profitability relative to shareholders' equity. This was preceded by a slightly lower ROE of 11.00% in Q2 2023 and a further increase to 11.93% in Q3 2023.
However, Veeco Instruments Inc experienced a significant decline in ROE in Q4 2023, recording a negative ROE of -4.52%. This negative ROE suggests that the company's net income was insufficient to cover the shareholders' equity, indicating a potential decrease in profitability or increased reliance on debt financing during that period.
Comparing these results to the previous four quarters, Veeco Instruments Inc generally maintained ROE levels in the single-digit range in 2022, with Q4 2022 showing a relatively high ROE of 28.89%. The recent negative ROE in Q4 2023 may raise concerns about the company's financial performance and efficiency in generating returns for equity investors. It would be prudent for stakeholders to examine the company's financial strategies and operational performance to understand the reasons behind this sharp decline in ROE.
Peer comparison
Dec 31, 2023